Every month, thousands of people search some version of "I inherited a house, now what?" The answer usually depends on two things: whether anyone plans to live there, and whether there's still a mortgage on it.
We pulled the numbers on both. DealMachine data shows 822,966 properties whose last recorded transfer was an estate deed. Of those, 177,145 are owned by heirs who don't live in the home and owe nothing on it. Here's where they are, what the pattern tells you, and how to reach those owners the right way.
How We Built This Ranking
Let me clarify what we counted, because inherited property is hard to measure. We looked at properties whose most recent recorded transfer was one of these deed types:
- Executor's deed. Signed by the person named in the will to settle the estate.
- Administrator's deed. Used when there's no will and the court appoints someone.
- Personal representative's deed. The term many states use for either of the above.
- Transfer-on-death deed. Passes the home straight to a named beneficiary without probate.
From there, we added two filters. Absentee-owned means the owner's mailing address is different from the property address. Free and clear means there's no open mortgage on record.
Two caveats matter. First, this is not every inherited home in America. Recording practices vary by state. In Texas, for example, many heirs take title through an affidavit of heirship instead of a deed, which is why Texas ranks lower than its size suggests. Second, some estate deeds go to outside buyers rather than family members. The absentee and free-and-clear filters screen most of those out, but not all. All counts were pulled from DealMachine's property data in October 2026.
Top 10 States for Paid-Off Inherited Homes
Here's the ranking by the number that matters most for investors: inherited homes that are both absentee-owned and free and clear.
| Rank | State | Estate-Deed Properties | Absentee-Owned | Absentee + Free and Clear | % of Absentee Paid Off |
|---|---|---|---|---|---|
| 1 | New York | 107,877 | 38,960 | 21,015 | 54% |
| 2 | Illinois | 75,217 | 27,074 | 13,747 | 51% |
| 3 | Indiana | 53,239 | 17,142 | 11,649 | 68% |
| 4 | Florida | 41,645 | 18,991 | 10,407 | 55% |
| 5 | Ohio | 57,208 | 21,709 | 10,268 | 47% |
| 6 | Kansas | 21,020 | 10,272 | 9,208 | 90% |
| 7 | Texas | 24,417 | 10,653 | 8,087 | 76% |
| 8 | Wisconsin | 45,727 | 12,859 | 7,405 | 58% |
| 9 | Missouri | 23,744 | 11,117 | 7,018 | 63% |
| 10 | Colorado | 41,188 | 14,255 | 6,542 | 46% |
| U.S. Total | 822,966 | 309,472 | 177,145 | 57% |
Ohio has more estate-deed properties than Indiana, but Indiana ranks higher once you filter for paid-off homes. That's the filter to pay attention to. An heir with a mortgage has a monthly bill forcing a decision. An heir without one doesn't.
What the Data Shows
More than half of these homes are paid off.
Of the 309,472 inherited homes held by absentee owners, 57% have no mortgage. That makes sense. Many of these homes belonged to older owners who paid off their loans years ago.
Here's the part that matters. With no payment due, there's no deadline. Heirs often let the house sit while they deal with everything else that comes with losing a family member. Some of these homes have been sitting for years. A respectful, well-timed letter can be the first time anyone has offered a simple way to resolve it.
The Midwest dominates.
Six of the top 10 states are in the Midwest: Illinois, Indiana, Ohio, Kansas, Wisconsin, and Missouri. Estate deeds are routinely recorded in these states, so the data is more complete. Home prices are also lower, which means heirs are more likely to own the home outright.
Kansas is a transfer-on-death state.
Kansas has 9,208 paid-off, absentee inherited homes. That's 90% of its absentee total, the highest rate on the list. It also leads the country in transfer-on-death deeds.
Nationally, 62,768 properties last passed by transfer on death deed, and 23,080 of those are absentee-owned. The top four states:
- Kansas: 13,038
- Texas: 9,579
- Illinois: 7,451
- Missouri: 7,367
These homes skipped probate, so the heir often holds clear title much sooner. That can mean a faster, simpler sale if the heir decides to sell.
Who This Data Is For
This list is most useful for two groups:
- Wholesalers. A paid-off home gives the owner room to accept a fair cash offer and still walk away with real money. That makes the assignment spread possible without squeezing anyone.
- Buy-and-hold investors. Many of these are older, well-built homes in affordable Midwest markets. They often need updates, which is exactly why heirs who live elsewhere don't want to manage them.
If you already work pre-probate leads, think of this as the next stage. Pre-probate covers homes where the owner has likely passed but the title hasn't moved yet. This list covers homes that have already been deeded to the estate or the heirs.
How to Find Inherited Homes in Your Market
This isn't complicated, but you do need the right process. Here's how I'd set it up.
- Pick one county. You need to know local values well enough to make a fair offer.
- Set your filters. In DealMachine's list builder, set last sale deed type to estate deeds. Then add absentee owner and free and clear.
- Find the right contact. The heir's mailing address is on the record, but phone numbers take extra work. Our skip tracing guide walks you through it.
- Lead with mail. A letter gives people space to respond when they're ready. A call can feel intrusive to someone who just lost a parent. Our breakdown of direct mail for real estate investors covers what to send and how often.
- Be patient. Expect follow-up over months, not days. Heirs often need to talk to siblings, settle the estate, or clear out belongings before they're ready.
One more note on tone. These are families, not leads. Acknowledge the loss, keep the message short, and make it clear there's no pressure. The investors who do well here are the ones who make the process easier for the heir, not the ones who push hardest.
Reach Heirs With Paid-Off Homes in Your Market
177,145 inherited homes are paid off and owned by heirs who live somewhere else. Most of those owners haven't heard from anyone yet. Filter by estate deeds, absentee owners, and free and clear in DealMachine, and reach out with care. See DealMachine plans and get started.
Frequently Asked Questions
How long does it take to sell an inherited house?
If the home goes through probate, plan on six months to a year before the executor can close a sale, depending on the state and the court. If the home passed by transfer-on-death deed, the heir can often sell within weeks of recording the death certificate. A cash sale to an investor can close in two to four weeks once the heir has the authority to sell.
What is an executor's deed?
An executor's deed is the document an executor uses to transfer a home out of a deceased person's estate. It can go to an heir or to a buyer. The executor signs it with authority granted by the probate court.
What is a transfer-on-death deed?
A transfer-on-death deed lets a homeowner name a beneficiary who receives the home automatically when the owner dies. The home skips probate. More than half of U.S. states allow them, including Kansas, Texas, Illinois, and Missouri.
Can you sell an inherited house with a mortgage?
Yes. The mortgage doesn't go away when the owner dies, but federal law generally lets heirs take over or pay off the loan without the lender calling it due. When the home sells, the mortgage is paid off from the sale proceeds at closing.
How do investors find inherited properties?
Most start with public records. Probate filings, estate deeds, and transfer-on-death deeds are all recorded at the county level. Property data tools pull those records together and link them to owner contact information, so you can build a targeted list instead of searching one county at a time.